January Market Update

I'm getting all of this month's report from 

http://sacramentoappraisalblog.com/. Feel free to read the long version there. Here's my summary of it:

It's too early to draw any conclusions as to where the market is heading in 2019 as we need more months to draw a conclusion. 

We've had 8 months of slum in sales volume but January number of pendings was normal. Mortgage rates have declined which could be one of the factors affecting that. 

This January we had more listings in almost all price groups than we did in January of 2018. More listings translates to more homes to choose from  for the buyers and more likely that buyers would walk away from a property due to high price or finding a more desirable home. 

Market is definitely waking up and  buyers are where they are supposed to be after the holidays: Out looking at homes, writing offers, buying homes. 

Not seeing aggressive price gains: Median price change was the lowest in the past 6 years. Buyers aren't willing or able to pay the aggressive high prices they were paying before.Sellers had to be more reasonable than last few years to get their homes sold. That's where the 3.5% is coming from. 

Here's another interesting graph to look at: Sales volume in Sacramento region is the lowest in the past 7 years. Not "sky is falling down" low but low"er". I believe we are heading for a slight correction in 2019. Something similar to what we have seen happening to January, is to happen for the rest of 2019. No crystal bowl here. Just an opinion.